The first step is to address the question of how everyday products can get onto the retail shelf and thus into the consumer’s shopping cart by optimizing transaction costs. The primary focus here is on digitizing the product discovery and listing process for consumer goods at retailers such as supermarkets and drugstores. FrontNow seamlessly connects suppliers with retailers for this purpose. The current process of getting new products onto shelves is inefficient and often leads to wastage on both sides. Nearly 300,000 new products are added to retailers’ shelves in Europe each year, 75% of which are removed within a year. As a result, constant scouting processes have to be carried out to find new products.
FrontNow solves the problems for the retailer and the supplier. This is done with the help of artificial intelligence (AI). Among other things, this processes information on the socio-demographics, income structure and general ordering and purchasing behavior of consumers on site, i.e. in the retailer’s local catchment area. From this information, FrontNow can deduce that product A will sell better than product B on the shelves of a specific retailer. Accordingly, product A is suggested to the retailer’s buyer for listing on the shelf before product B.
FrontNow provides the AI on which the prioritization is based with significantly more macro- and micro-economic information. The AI uses this data to predict the future of end-customer buying behavior at the local level. This creates a massive competitive advantage for manufacturers and retailers. In addition, FrontNow offers solutions to questions and problems faced by suppliers of all sizes, which they can use in a modular fashion.